EU to finally send the long awaited €50 Billion Aid to Ukraine

European Union leaders have successfully approved a €50 billion ($54 billion) economic aid package for Ukraine, despite resistance from Hungarian Prime Minister Viktor Orban, who accused Brussels of “blackmailing” him into accepting the deal. European Council President Charles Michel announced the agreement, emphasizing that all 27 leaders had reached a consensus on the additional support package. The funds, drawn from the EU’s collective budget, will be allocated over four years to Ukraine for purposes such as public sector salaries, sustaining government operations, and supporting the welfare system.

Hungarian Prime Minister Viktor Orban had previously threatened to veto the proposal, expressing concerns about the lack of clarity on how the funds would be utilized and uncertainties about the situation in Ukraine. Orban argued for a ceasefire and peace talks, emphasizing that military confrontation with Russia was not a viable option. He also criticized Ukraine’s level of corruption, echoing Transparency International’s Corruption Perceptions Index, which ranks Ukraine 104th out of 180 countries.

Earlier reports suggested that the European Council had devised a plan to cut funding to Budapest and impact the Hungarian economy if Orban persisted with his veto. Orban accused the EU of imperialism and rejected the proposed aid package, suggesting a compromise for a smaller annual transfer to Ukraine, subject to any member state’s veto. Despite his proposal, Brussels declined, with Orban expressing concerns about potential financial repercussions.

The agreed-upon deal allows for annual debates on the package’s implementation, with a budget review scheduled in two years. While some European diplomats suggest these measures were included to appease Orban, others argue that he received no concessions and was compelled to accept the aid package for Ukraine without alternatives.